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Private equity investors trapped in China as top firms fail to find exit deals

Sales and listings of Chinese companies by world’s biggest buyout groups have ground to a halt, data shows

The world’s biggest private equity groups have been unable to sell or list their China-based portfolio companies this year, as Beijing’s crackdown on initial public offerings and a slowing economy leave foreign investors’ capital trapped in the country.

Among the 10 largest global private equity groups with operations in China, there is no record of any having listed a Chinese company this year or fully sold their stake through an M&A deal, figures from Dealogic show.

It is the first year for at least a decade where this has been the case, though the pace of exits has been slow since Beijing introduced restrictions on Chinese companies’ ability to list in 2021.

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